Don’t miss the latest developments in business and finance.

Sensex, Nifty hit highest level in more than a week

Image
Capital Market
Last Updated : Aug 13 2013 | 11:55 PM IST

Key benchmark indices extended intraday gains and hit fresh intraday high in early afternoon trade. The barometer index, the S&P BSE Sensex, the 50-unit CNX Nifty, both, hit over one-week high. The Sensex was up 182.20 points or 0.96%, up 264.37 points from day's low and off 27.23 points from the day's high. The market breadth, indicating the overall health of the market, was strong. Gains in Asian stocks underpinned sentiment.

Index heavyweight Reliance Industries extended intraday gain. Auto stocks were in demand on fresh buying. Mahindra & Mahindra (M&M) gained ahead of its Q1 result today, 13 August 2013. ICICI Bank reversed direction after hitting a 52-week low. Sun Pharmaceutical Industries extended Monday's 6.59% rally triggered by the company reporting strong Q1 earnings. DLF gained in volatile trade after the company reported turnaround financial performance on sequential basis in Q1 June 2013. Oberoi Realty jumped after a bulk deal of 4.33 lakh shares was struck on the counter on BSE today, 13 August 2013.

Key benchmark indices reversed direction after an initial slide triggered by weak industrial production data for June 2013 released by the government after trading hours on Monday, 12 August 2013. Key benchmark indices pared gains after striking fresh intraday high in morning trade. The Sensex moved past the psychological 19,000 mark. Key benchmark indices extended intraday gains and hit fresh intraday high in mid-morning trade. The Sensex and 50-unit CNX Nifty, both, hit one-week high. The market extended gains in early afternoon trade.

The market sentiment was boosted by data showing that foreign funds remained net buyers of Indian stocks on Monday, 12 August 2013. Foreign institutional investors (FIIs) bought shares worth a net Rs 408.35 crore on Monday, 12 August 2013, as per provisional data from the stock exchanges.

The rupee edged higher against the dollar in choppy trade. The partially convertible rupee was hovering at 61.16, stronger than its close of 61.2750/2850 on Monday, 12 August 2013. The rupee had record low of 61.80 in intraday deals on 6 August 2013.

At 12:21 IST, the S&P BSE Sensex was up 182.20 points or 0.96% to 19,129.18. The index jumped 209.43 points at the day's high of 19,156.41 in early afternoon trade, its highest level since 5 August 2013. The index fell 82.17 points at the day's low of 18,864.81 in early trade.

More From This Section

The CNX Nifty was up 52.55 points or 0.94% to 5,664.95. The index hit a high of 5,675.55 in intraday trade, its highest level since 5 August 2013. The index hit a low of 5,578.90 in intraday trade.

The market breadth, indicating the overall health of the market, was strong. On BSE, 1,161 shares gained and 738 shares fell. A total of 125 shares were unchanged.

The total turnover on BSE amounted to Rs 1012 crore by 12:20 IST compared to Rs 707 crore by 11:20 IST.

Among the 30-share Sensex pack, 23 stocks gained and rest of them declined.

Index heavyweight Reliance Industries rose 1.16% to Rs 855.10, with the stock extending intraday gain. The stock hit a high of Rs 857 and low of Rs 835 so far during the day.

Auto stocks were in demand on fresh buying. Mahindra & Mahindra (M&M) gained 3.59% ahead of its Q1 result today, 13 August 2013.

Maruti Suzuki India rose 1.9%. The Reserve Bank of India on 8 August 2013 lifted restrictions placed on buying of Maruti's shares by foreign institutional investors after their holdings in the stock fell below the prescribed limit. Total holding of FIIs in Maruti Suzuki was 22.03% as on 30 June 2013.

Tata Motors rose 0.36%.

Shares of two wheeler companies also gained. Hero MotoCorp (up 2.22%) and Bajaj Auto (up 2.32%) edged higher.

ICICI Bank rose 1.13% to Rs 876. The stock reversed direction after hitting a 52-week low of Rs 851 in intraday trade today, 13 August 2013.

Sun Pharmaceutical Industries edged higher in choppy trade. The stock was up 1.48% at Rs 548.55. The scrip hit high of Rs 552 and low of Rs 533.30 so far during the day. The stock had jumped 6.6% on Monday, 12 August 2013, boosted by the company's strong Q1 earnings.

Sun Pharma's consolidated recurring net profit jumped 56% to Rs 1241 crore on 31% growth in net sales to Rs 3482 crore in Q1 June 2013 over Q1 June 2012. Adjusted for the impact of one-time sales recorded in the domestic business in Q4 March 2012, which lowered Q1 June 2012 sales, the net sales have grown by 23% year on year (YoY) in Q1 June 2013.

DLF gained 2.96% to Rs 142.65 in volatile trade after the company reported turnaround financial performance on sequential basis in Q1 June 2013. The stock hit a high of Rs 148.10 and low of Rs 141 so far during the day. The company reported consolidated net profit of Rs 181 crore in Q1 June 2013, as against net loss of Rs 4 crore in Q4 March 2013. Earnings before interest, taxation, depreciation, and amortization (EBITDA) jumped 29% to Rs 1055 crore in Q1 June 2013 over Q4 March 2013. Revenue rose 6% to Rs 2453 crore in Q1 June 2013 over Q4 March 2013. The company announced Q1 result after market hours on Monday, 12 August 2013.

DLF said that the benefit of the revised strategy, which was articulated in February 2013, has now started to flow. The company remains focused on creating a business model of highly stable and predictable earnings, cash flows and long term value creation. The company continues to concentrate its efforts on reduction of net debt by increasing its operating cash flows and non-core divestments thereby increasing ROE's, DLF said.

During the quarter, the company achieved sales bookings of Rs 2430 crore compared to a total of Rs 3800 crore for the full year of FY 2013. DLF received an overwhelming response to the much awaited launches of DLF 5, Gurgaon projects namely The Crest wherein 0.83 million square feet (msf) area was sold at an average price of Rs 17,500 per square feet (psf). The forthcoming project of Camellias was also test marketed and the results were very encouraging, DLF said. Besides DLF 5 launches, the company achieved sales in cities such as Lucknow, Panchkula, New Chandigarh and Banglore, the company said in a statement. The construction of 1.8 msf Mall of India, Noida continues to make progress and is slated to open by end of FY 2014.

DLF said divestment of non-core assets fetched Rs 215 crore in Q1 June 2013.

On Aman divestment, post opening of the process to other bidders/investors and their subsequent positive response specifically in terms of value, DLF said it remains quite confident of a closure of the transaction in a short period of time.

DLF said it remains committed to its debt reduction plan through various divestments. The net debt declined to Rs 20369 crore as on 30 June 2013. The company reiterates its annual guidance of net debt reduction to Rs 17500 crore by end of FY 2014.

DLF continues to maintain a comfortable liquidity position having Rs 3175 crore of cash on its books. With the uptick in sales bookings, which was very evident from the Q1 sales, the cash position is likely to improve substantially, the company said.

Oberoi Realty jumped 18.29% to Rs 206 after a bulk deal of 4.33 lakh shares was struck on the counter at Rs 180 per share at 11:13 IST on BSE.

Reliance Power gained 2.67%. The company during market hours today, 13 August 2013, said that the Appellate Tribunal for Electricity (APTEL) has pronounced its judgment allowing the appeal of the company's wholly owned subsidiary Sasan Power against Central Electricity Regulatory Commission's (CERC) order dated 20 June 2013 on Commercial Operation Date (COD) of the first 660 MW unit of Sasan UMPP. APTEL has set aside CERC's order and has directed CERC to decide the matter afresh without being influenced by its earlier findings.

Dredging Corporation of India rose 1.73% to Rs 271.50 after the company said that the third Trailer Suction Hopper Dredger - DCI Dr. XXI with 5500 Cu.M Hopper capacity has been launched on 8 August 2013, at Netherlands. The stock hit a high of Rs 277.40 so far during the day, which is also its 52-week high for the counter. Dredging Corporation of India said the vessel is expected to be delivered in February, 2014. This is the third in the series of the three vessels being built by IHC Dredger BV, Netherlands the first two vessels have already been delivered and joined the fleet in December 2012 and July 2013 respectively, the company said.

Torrent power surged 11.57% to Rs 92.10. The stock gained on volumes of 6.39 lakh shares, higher than average daily volume of 63,870 shares in past one quarter.

Marico rose 1.71% to Rs 205.55 after a bulk deal of 23.89 lakh shares was struck on the counter at Rs 204.75 per share at 11:52 IST on BSE.

On the macro front, industrial production registered a contraction of 2.2% in June 2013, data released by the government after trading hours on Monday, 12 August 2013, showed. Mining production registered a decline of 4.1% and manufacturing production fell 2.2%. Electricity generation remain stagnant in June 2013. As per use-based classification, production of basic goods declined 1.9% in June 2013. Capital goods production fell 6.6%. Production of intermediate goods rose 1.1%. Consumer goods production declined 2.3%. Production of consumer durables declined 10.5%. Production of consumer non-durables rose 5%.

On a cumulative basis, industrial production registered a contraction of 1.1% during April-June 2013.

Inflation based on the consumer price index (CPI) eased in July 2013, data released by the government after trading hours on Monday, 12 August 2013, showed. The combined consumer price index (CPI) for urban and rural India eased to 9.64% in July 2013, from 9.87% in June 2013. The data showed that inflation under the category 'food and beverages' stood at 11.24% in July 2013.

Asian markets were trading higher on Tuesday, 13 August 2013, led by sharp upmove in Japanese shares which rose after yen eased following a report on Tuesday that said the Prime Minister Shinzo Abe is considering a corporate tax cut as a way to offset the impact of a planned two-stage increase in the sales tax. Key benchmark indices in Hong Kong, Indonesia, Singapore, South Korea, Japan and Taiwan were up by 0.43% to 2.57%. China's Shanghai Composite index fell 0.06%.

Japan's core machinery orders, seen as a leading indicator of capital spending, fell 2.7% in June, the Cabinet Office said Tuesday. Core machinery orders, which exclude volatile purchases for power-generation equipment and ships, can nonetheless vary wildly from month to month: They rose 10.5% in May, fell 8.8% in April, and rose 14.2% in March. A quarterly forecast included with the June results showed expectations the orders would fall 5.7% in the July-September period compared to the previous quarter.

Trading in US index futures indicated that the Dow could gain 28 points at the opening bell on Tuesday, 13 August 2013. US stocks closed a low-volume, light-news session with slight losses on Monday, though the technology-dominated Nasdaq Composite managed a gain.

Data on US retail sales for July 2013 is due for release later in the global day today, 13 August 2013.

Powered by Capital Market - Live News

Also Read

First Published: Aug 13 2013 | 12:20 PM IST

Next Story